HomeMy WebLinkAbout20120316Response to IPC Motion to Stay.pdfPeter 1. Richardson ISB # 3195
Gregory Adams ISB # 7454
RICHARSON & O'LEARY PLLC
515 N. 27th Street
Boise, Idaho 83702
Telephone: (208) 938-7901
Fax: (208) 938-7904
greg!ßnchardsonandolear.com
peter!ßnchardsonandolear.com
RECEIVED
2012 MAR l 6 AM 8: 40
Attorneys forthe J. R. Simplot Company
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE )
COMMISSION'S REVIEW OF PURPA QF )
CONTRACT PROVISIONS INCLUDING )
THE SURROGATE AVOIDED )
RESOURCE (SAR) AND INTEGRATED )
RESOURCE PLANING (lRP) )
METHODOLOGIES FOR CALCULATING )
PUBLISHED AVOIDED COST RATES
CASE NO. GNR-E-11-03
J. R. SIMPLOT COMPANY'S
RESPONSE TO IDAHO POWER'S
MOTION FOR TEMPORARY STAY
OF ITS OBLIGATION TO ENTER
INTO NEW POWER PURCHASE
AGREEMENTS WITH QUALIFYING
FACILITIES
COMES NOW, the J. R. Simplot Company ("Simplot") in response to Idaho Power
Company's ("Idaho Power") Motion for Temporar Stay of its Obligation to Enter into New
Power Purchase Agreements with Qualifying Facilties ("Motion"); Memorandum in Support of
Idaho Power Company's Motion ("Memorandum") and Affdavit of Randy C. Allphin in
Support ofIdao Power Company's Motion ("Affdavit") and urges the Idaho Public Utilties
Commission ("Commission") to deny Idaho Power's Motion in its entirety and to maintain the
schedule curently in place for prosecuting ths docket.
1 - J. R SIMPLOT COMPANY'S RESPONSE TO IDAHO POWER'S MOTION FOR A STAY
SIMPLOT ADOPTS AND ENDORSES THE COMMENTS FILED BY EXERGY
DEVELOPMENT GROUP IN THIS MATTER
The J. R. Simplot Company has reviewed in detail the comments flIed by Exergy
Development Group in this matter an urges the Commission to act on Exergy's request that the
Commission swifty deny Idaho Power's Motion in its entirety. In paricular, Simplot agrees
with Exergy's assertion that the sky is not fallng and no undue emergency exists. Idaho Power
has simply not demonstrated any operational reason to halt QF development in Idaho. Simplot
notes that the Commission has already reduced the availability of published avoided cost rates
for wind and solar projects from ten average monthly megawatts to one hundred kilowatts.
The curent docket is set for the purose of evaluating inputs into the IRP methodology
for calculating avoided cost rates. This docket should be permitted to ru its course as the paries
- including Idaho Power all agreed just a few months ago.
THE J.R. SIMPLOT COMPANY'S EXISTING OF WOULD BE NEGATIVELY
IMPACTED BY IDAHO POWER'S PROPOSED PURP A MORATORIUM
Notwithstanding Simplots objections to the impact ofIdaho Power'sflling on all QFs,
Simplot also takes paricular issue with the impact of the Motion on Simplots Don Plant QF.
Simplot's QF at its Don Plant is a cogeneration plant with a nameplate capacity in excess of 10
MW for which Simplot curently sells the output to Idaho Power under a QF power purchase
agreement with published rates. The contract is set to expire by its terms in March 2013. See
Idaho PUC Case No. IPC-E-04-16 (approving the contract). Simplot has not yet secured a
contract renewal for its plant, but hopes to do so in the coming months. Idaho Power's requested
moratonum would prevent Simplot from completing its negotiations until much closer to the
expiration of its existing contract than would be reasonable.
2 - J. R SIMPLOT COMPANY'S RESPONSE TO IDAHO POWER'S MOTION FOR A STAY
In support of its Motion, Idaho Power appears to assume that the proposed moratorium
will not impact existing projects because few or no contracts are expinng in 2012. This
overlooks, however, that a moratonum can impact existing projects that will expire shortly after
2012 - such as the QF at the Don Plant. Such projects are (or should be) already included in
Idaho Power's load and resource balance, thereby negating many, ifnot all, of the concerns that
Idaho Power expressed for new projects in its filing. Negotiating a QF contract, paricularly one
using the IRP Methodology, can take many months. Simplot understads this is likely even more
tre now than in the past because Idaho Power is now engaged in contracting tactics whereby it
refuses to disclaim ownership to the QF's environmental attibutes. The moratonum would
obviously impact existing projects that would otherwse be reasonably attempting to secure a
contract renewal for contracts that will expire in 2013, yet Idaho Power has provided no
justification to curail such projects' PURPA nghts. The Commission should not overlook the
impact on existing contracts, and that Idaho Power has yet again requested relief that far exceeds
the scope of the alleged problem.
DATED this 15th day of March, 2012.
RICHARDSON & O'LEARY PLLC
BY:12~.~Peter J. Richardson, ISB #3195
RICHARDSON & O'LEARY, PLLC
-
3 - 1. R SIMPLOT COMPANY'S RESPONSE TO IDAHO POWER'S MOTION FOR A STAY
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on the 15th day of March, 2012, a tre and correct copy of the
withn and foregoing RESPONSE OF THE J. R. SIMPLOT COMPANY TO IDAHO POWER'S
MOTION TO STAY was served as shown to:
Jean D. Jewell, Secretar
Idaho Public Utilities Commission
472 West Washington
Boise, Idaho 83702
jean. jewell(ßpuc.idaho. gov
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Donald Howell
Kris Sasser
Idaho Public Utilities Commission
472 West Washington
Boise, Idaho 83702
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Donovan E. Walker
Lisa D. Nordstrom
Idaho Powe Company
POBox 70
Boise, ID 83707-0070
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Avista Corporation
P.O. Box 3727
Spokane, W A 99220
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Lovinger Kaufman LLP
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PacifiCorp/dba Rocky Mountain Power
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Renewable Energy Coalition
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Mimura Law Offices PLLC
Interconnect Solar Development, LLC
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Barker Rosholt & Simpson LLP
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Bnan Olmstead
General Manager
Twin Falls Canal Company
PO Box 326
Twin Falls, ID 83303
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Robert A. Paul
Grand View Solar II
15690 Vista Circle
Desert Hot Springs, CA 92241
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James Carkulis
Exergy Development Group of Idaho, LLC
802 W. Banock, Ste 1200
Boise,ID 83702
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Aron F. Jepson
Blue Ribbon Energy, LLC
10660 South 540 East
Sandy, UT 84070
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M.J. Humphries
Blue Ribbon Energy, LLC
4515 S. Amon Rd.
Amon, ID 83406
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General Manager
North Side Canal Company
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Jerome, ID 83338
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Adams County Board of Commissioners
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Birch Poer Company
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Idaho Falls, ID 83404
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Margaret Rueger
Idaho Windfars, LLC
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Senior Staf Counsel
Renewable Nortwest Project
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Idaho Conservation League
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Snake River Allance
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Coalition
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Energy Director
J.R. Simplot Company
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Boise, ID 83707-0027
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tçl
Peter J. Richardson